What products and services do Millennials actually want to spend money on?
- Health and wellness
- Online shopping
Major industry giants have been putting blame on millennials for their downfall as the majority market refuses to spend money on their brands. Yet, it seems strange for a whole generation to be a source of the blame since they are just customers. If you cannot adjust to their needs, then how can you survive in the present?
If you have been thinking of making your business more millennial-friendly, then you’re on a better track than others. To do this, it is first advisable for you to get outside help in the form of a business management consultant. Second, it will be helpful to note down the products and services millennials actually want to spend money on.
From food to coffee, millennials are spending more than previous generations on take-out. In fact, 7.5% of their budget goes to it, while their parents only spent around 6.6% to 6.9% of their own. They are more likely to eat at restaurants or order food delivery than cook at home. Why? It is simply more convenient for them.
Despite their desire for outside meals, you cannot appeal to the millennial market with just good food. To attract them, you need to able to connect to your customers first through technology. Specifically, they want businesses who they can easily reach with a tap on the phone and can transport meals anywhere. As a result of these demands, they are more likely to order takeout from you if your brand is available in delivery apps such as Honestbee and Foodpanda.
Second, they want unique and healthy options at an affordable price. Unlike the 2000s, they are customers who are less swayed by eat-all-you-can outlets. They prioritize quality over quantity, at a cost they are more willing to pay for.
If your business is in the foodservice industry, it might be good to talk with your business management consultant about what constitutes an efficient delivery. By doing this, you can also join apps and become more available to your target market.
Health and Wellness
Millennials want to spend on services that make their entire being feel good, including their physical body. Thus, a lot of them are spending huge portions of their budget on things that are health and wellness related.
In fact, 18-35-year-olds in Southeast Asia desire to incorporate more physical activity into their busy lifestyles, with 7 in 10 millennials striving to live healthy lives. On the other hand, only 6 in 10 seniors aim to do the same. The only thing stopping these young adults from reaching their goals are work obstacles.
Because of their job-related responsibilities, they appreciate gyms who are willing to them improve their fitness by providing their services in the workplace. You will see a lot of companies holding different types of wellness programs for the employees. Some even go as far as hosting workout classes for the staff in the building space.
Additionally, since they see exercise as an important lifestyle component, millennials want to pay for services which also fulfill their need to socialize. Hence, they gravitate towards group classes. Lastly, personalized membership experiences make them feel special and increase their brand loyalty.
If your business specializes in health and wellness, it would be good to sit down with a management consulting team to discuss these concerns. Think about what you can do to attract the health-focused millennial. How can you make you your fitness classes and gym more communal? It is feasible for you to start offering companies, with a lot of young workers, employee wellness programs? How can you make your memberships more appealing to them?
While older generations prioritize the brand name, present millennials prefer experience. Thus, they are more likely to become loyal to retailer brands who are willing to make their purchasing convenient. Now, the most popular way for them to fulfill their desires is by offering their products and delivering customer orders through an online website. As a result, we now have substantial online shopping and e-commerce industries.
In fact, website marketplaces have become so popular, they earned around $1.5 trillion in sales. Amazon and eBay reign supreme, while established niche retailers such as Newegg are growing. In the Philippines, you can even see department stores like Watsons coming out with their own shopping website.
So, how can you gain a footing in the e-commerce market? First, find the appropriate website marketplace to sell it. You can choose from Amazon, Shoppee, Lazada, and more! If you launch your own shopping website, it may be difficult because of the high costs. Second, finalize a business launch and solid customer shipping plan with management consulting services. How will you advertise? What will the packaging look like? How much will be your delivery rate?
As a seller to customers, you and other brands should adjust to the needs of the customer market. Right now, the majority of your buyers are going to be Millennials since they are adults now, working and earning disposable income. In this list, it is easy to see that their preferences have differed from previous generations in terms of food, lifestyle, and shopping.